Johannesburg - The rand staged a modest recovery on Tuesday after tumbling to a new record low, helped higher by a pause in the dollar's run to a seven-month peak.
Stocks are set to open at least 231 points lower as equity futures on the blue-chip Top 40 index, which often act as a precursor of the actual index, fell 0.48%.
At 08:40 the rand had edged up 0.2% to R14.2700/$, but will struggle to hold on to the gains as the likelihood of an interest rate hike in the US increases, with another Federal Reserve member hinting at a December liftoff.
Yields on bonds continued to climb, with the benchmark issue due in 2026 adding 1 basis point to 8.605% in early trade to a one-and-a-half month high.
The rand has weakened nearly 3% since Friday's stronger-than-expected US jobs data and is down 9% for the month, according to Thomson Reuters data.
One of worst-performing currencies
Together with Brazil's real and the Turkish lira, the local unit is one of the worst performing developing market currencies in 2015.
"With no positive data releases expected this week we anticipate that South Africa's currency will remain under pressure in coming days," analysts at NKC African Economics said in a research note.
Statistics SA releases manufacturing output figures at 13:00, with mining production data due on Thursday. Economists polled by Reuters expect contraction in both sectors.
Slowing economic activity and the weaker currency risk pushing up inflation, possibly forcing the Reserve Bank to lift lending rates for the first time since July when its policy committee convenes next week.